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Facebook's stock increased 16 cents to $31.40 in after-hours trading after briefly dipping lower just after the release of the results.

Facebook's biggest challenge - and its greatest opportunity- lies in mobile devices which is an area that the company did not pay much attention to until just last year.

Most Facebook users access it using a mobile phone or tablet computer, yet the nine-year-old company only started showing mobile ads about nine months ago.

Moving to mobile: Zuckerberg said that the company is now entirely focused on their mobile platforms

The company said it generated 23 per cent, or $306million, of advertising revenue from mobile which marks an increase from 14 per cent in the third quarter.

Focused on returns: COO Sheryl Sandberg said that the company is dedicated to earning money for their investors

While Facebook's accelerated revenue growth is a positive sign, there's still a feeling that the company could be doing even more to mine revenue from its mobile audience.

He expected Facebook's mobile ad revenue to rise to 25 per cent of the company's ad sales or about $350million in the fourth quarter.

One of the ways that Zuckerberg expects the revenue to increase is that once they create the fully-fledged arena for advertisements, as opposed to focusing on the specifics of video versus still advertisements.

‘We want to be the distribution platform for a lot of this stuff,’ Zuckerberg said.

Facebook's monthly user base grew 25 per cent from a year earlier to 1.06 billion accounts. About 680 million of them access Facebook using a mobile device each month.

As of the stock market's close on Wednesday, Facebook's stock was up 60 per cent since the company's third-quarter earnings report came out in October. But it still hasn't hit its initial public offering price of $38.

The May 18 IPO was by far the biggest one for an Internet company since Google's in 2004, but the excitement quickly deflated.

Facebook's stock briefly declined after Wednesday's results came out but rebounded later in the day.